MANOR Group will launch the 30-suite Akyra Manor Chiang Mai this October, as part of its planned 500 million baht (US$14.2 million) investment in Thailand’s hospitality and F&B sectors, said CEO John Lim.

The Singapore-based developer has invested about 350 million baht in the hotel, which is located in the west of the city near Chiang Mai University and will be managed by the Akaryn Hotel Group.

According to Lim, the property will leverage its contemporary design, high service standards and hallmark F&B offerings to differentiate itself in the market, as well as pricing rooms in the US$200-US$250 segment.

Lim admitted he was “taking a bit of a risk” developing a property with an investment cost of about US$333,000 per suite, but he was confident that the high-design city hotel would create the demand needed to hit the profitable occupancy rate of 70–90 per cent.

“Currently Chiang Mai has a lot of properties at the US$10 per night market and the traditional five-star properties at about US$200 per night,” he said. “There are also some very successful luxury boutiques charging US$400 per night. So we’re targeting a different guest, someone who’s younger, design conscious and wants to stay in an iconic property.”

Akyra Manor, which also has meetings facilities, will focus on its F&B offerings, including the poolside/rooftop Rise Bar, to attract customers in a city with a burgeoning café culture but lacks high-concept branded venues.

Manor Group recently opened Italics restaurant in Bangkok, a joint venture with Akaryn, and plans to develop another property in Chiang Mai.